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comprising a number of strategically independent submarkets, so that I can separate the strategic interaction effect at the … submarket level and the independence effects which operate across these independent submarkets at the aggregate level. The … emergence of submarkets in a conventionally defined industry plays a crucial role in shaping the aggregate pattern of the …
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Recent finance literature highlights the role of technological change in increasing firm specific (idiosyncratic) and aggregate stock return volatility, yet innovation data is not used in these analyses, leaving the direct relationship between innovation and stock return volatility untested. The...
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The arrival of motorization, from before the beginning of the twentieth century, has changed agricultural production and the whole economy by dramatically reducing work force and improving productivity. Yet the negligence of research on the history of farm mechanization is surprising given that...
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The paper studies the co-evolution of industrial turbulence and financial volatility in the early phase of the life-cycle of an old high-tech industry and a new high-tech industry: the U.S. auto industry from 1899-1929 and the U.S. PC industry from 1974-2000. In both industries, the first three...
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Market share instability, during certain stages of the industry life-cycle, has become a stylized fact in the industrial organization literature. In the finance literature, volatility in the form of excess volatility, i.e. the much larger volatility of stock prices than dividends (although stock...
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